仕佳光子20251111

Summary of the Conference Call for Shijia Photonics Company Overview - Company: Shijia Photonics - Industry: Data Communication and Optical Components Key Points and Arguments 1. Financial Performance: Shijia Photonics successfully transformed into the data communication market, achieving profitability with a quarterly profit of 20 million yuan. The total profit for the first three quarters of 2025 reached 306 million yuan, although the growth rate in Q3 showed a decline compared to Q2. A recovery is expected in Q4 [2][4][10] 2. AWG Business: The Arrayed Waveguide Grating (AWG) business benefits from the demand for wavelength division multiplexing in data center optical modules, particularly excelling in the FR solution. The penetration rate is continuously increasing, with Shijia Photonics having achieved mass production of 1.6T AWG products, capturing approximately 50% of the domestic market [2][6][11] 3. NPO Business: The NPO (High-Density Wiring) business focuses on interconnections between data center switches. Following the acquisition of Foxmar, Shijia Photonics aims to enhance gross margins and accelerate overseas growth. The company is expected to improve its competitive position in the NPO market [2][7][11] 4. CW Light Source Business: The Continuous Wave (CW) light source business is projected to achieve significant breakthroughs by 2026. The global supply-demand gap for CW light sources is widening, providing opportunities for Shijia Photonics to increase its market share. The company has accumulated technology and sufficient MOCVD equipment to handle a large volume of orders [2][8][9][11] 5. Growth Potential: All three core business lines (AWG, NPO, CW light source) exhibit high growth potential, with a conservative estimate of net profit exceeding 1 billion yuan next year. These segments not only support current performance but also prepare for new demands in CPU scenarios [3][10] Additional Important Insights 1. Market Dynamics: The AWG business is expected to grow faster than the overall 800G market due to increasing downstream demand and higher silicon photonics penetration [11] 2. Strategic Acquisitions: The acquisition of Foxmar is anticipated to enhance Shijia Photonics' gross margins and facilitate overseas expansion, addressing the competitive landscape in the NPO sector [7][11] 3. Technological Advancements: Shijia Photonics has made significant technological advancements in CW light sources, positioning itself to capitalize on the growing global demand and supply gap [8][9][11]